Premium Essay

Acct 504 Mid Term

In: Business and Management

Submitted By milo1er
Words 1077
Pages 5
Question 1. Question :
(TCOs A, B, and C) Which of the following statements concerning users of accounting information is incorrect? Student Answer:
The marketing vice president is considered an internal user. Present and prospective creditors are considered external users. *Regulatory authorities, such as the SEC, are considered internal users. The IRS is considered an external user. Instructor Explanation:
Chapter 1 Points Received:
3 of 3

Comments: Question 2. Question :
(TCO C) Collecting cash from customers would be an example of which type of activity? Student Answer:
*Operating

Investing Financing Non-cash financing activity Instructor Explanation:
Chapter 1 Question 3. Question :
(TCO A) Assets include Student Answer: loans obtained by the company. stockholders’ investment in the business. dividends paid to shareholders. *supplies and prepaid expenses. Instructor Explanation:
Chapter 1 Points Received:
3 of 3 Comments: Question 4. Question :
(TCO A) Which of the following should not be classified as a current liability? Student Answer: Accounts Payable * A note payable due in 15 months Income Tax Payable Unearned Revenue Instructor Explanation:
Chapter 3 Points Received:
3 of 3 Comments: Question 5. Question :
(TCO B) For 2012, LBJ Corporation reported net income of $40,000; net sales $1,400,000; and weighted average shares outstanding of 10,000. There were no preferred stock dividends. What was the 2012 earnings per share?
Student Answer:
*$4.00

$2.00 $14.00 $140.00 Instructor Explanation:
($40,000 minus 0) divided by 10,000 shares = $4.00, Chapter 11 Points Received:
3 of 3 Comments: Question 6. Question :
(TCO D) Which of the following describes the normal balance and classification of the Unearned Revenue account? Student…...

Similar Documents

Premium Essay

Ifsm Mid Term

...Rock Zang IFSM 300 MID TERM EXAM Professor Beach 1. List, describe, and provide an example of each of the five characteristics of high quality information.   High quality information is; Accurate- Information that contains all properly spelled names, words, dates, etc. The accuracy of information is important for many reasons such as a package delivered properly to a customer, a return phone call regarding a customer service issue, or a misplaced decimal point on a bank deposit slip. Any of the previously mentioned mistakes, by the customer or the employee, could result in a loss of business or profits. When developing IT systems, there are certain conditions available to a programmer that can help minimize these easily made mistakes. One example of such a condition would be creating a rule that 5 digits must be entered when asking for a consumer’s zip code. Completeness- Any information that is incomplete will prevent accurate results. Imagine a medical survey with a cell requesting a person’s date of birth. If the survey only captures the day and month of birth, the information available will not include the samples actual age, only their day and month of birth. This could prevent the employee from maintaining the average age of the consumers. Consistency- The consistency of information across different data centers, or within a single data sheet can create a problem in trying to accurately search and find an individual or an individual’s......

Words: 2127 - Pages: 9

Premium Essay

Mid Term 504

...If the company decides to go public the company must adhere to the new regulations. According to Securities and Exchange Commissionhttp://www.sec.gov/rules/final/33-8238.htm.As directed by Section 404 of the Sarbanes-Oxley Act of 2002, we are adopting rules requiring companies subject to the reporting requirements of the Securities Exchange Act of 1934, other than registered investment companies, to include in their annual reports a report of management on the company's internal control over financial reporting. The internal control report must include: a statement of management's responsibility for establishing and maintaining adequate internal control over financial reporting for the company; management's assessment of the effectiveness of the company's internal control over financial reporting as of the end of the company's most recent fiscal year; a statement identifying the framework used by management to evaluate the effectiveness of the company's internal control over financial reporting; and a statement that the registered public accounting firm that audited the company's financial statements included in the annual report has issued an attestation report on management's assessment of the company's internal control over financial reporting. Under the new rules, a company is required to file the registered public accounting firm's attestation report as part of the annual report. Furthermore, we are adding a requirement that management evaluate any change in the......

Words: 638 - Pages: 3

Premium Essay

Acct-504 Final Project

...Financial Analysis of Hershey and Tootsie Roll Keller University ACCT-504 Instructor: Financial Analysis of Hershey and Tootsie Roll Introduction Tootsie Roll and Hershey are two similar companies with a similar product offering, but they operate on entirely different scales. In an effort to determine the better investment of the two companies we will utilize multiple financial analysis ratios to gauge the health of the respective companies in terms of liquidity (the ability to pay short-term liabilities and respond to opportunities), solvency (the long-term viability of the company) and profitability (the efficiency at which the can turn it’s resources into profits). However, the snapshot picture of health that a single years worth of financial statements provide is not enough. Below we have offered a horizontal analysis of the respective companies to show the change in their health from 2012 to 2013 and analyzed the two companies against each other to show why we recommend Hershey as the better investment. Liquidity and Solvency Current Ratio The current ratio is defined as the current assets divided by the current liabilities for a given period. This ratio is important because it helps measure a company’s ability to pay their current liabilities with their current assets. This shows helps determine the liquidity of the companies and their ability to respond to market......

Words: 1270 - Pages: 6

Premium Essay

Mid Term

...report for Royal Appliance Mfg. Co. What type of opinion was issued by the auditors? Explain why this type of opinion was given. The opinion is unqualified with explanatory language. The Company is following generally accepted accounting principles and has presented their financial statements fairly, according to the auditors; however explanatory language is necessary to indicate that the Company has changed their method of inventory valuation in 1995. This will cause the statements to be inconsistent and not comparable to prior years. 1. | 20X9 | 20X8 | Allowance for doubtful accts. | | | Accts. Receivable + Allow | 1.5% | 2.3% | Growth rates: Sales 52% Accts. Receivable 35% Allowance for doubt. (15%) Sales have increased significantly so it is expected that the accounts receivable account would grow also. While accounts receivable has grown, it has not grown as much as sales which is a good sign. What is inconsistent, however, is the decline in the allowance for doubtful accounts. Generally this account would increase as both sales and accounts receivable increase. The percentage of estimated bad accounts has dropped by almost a percentage point relative to the prior year. 2. a. The FIFO method assumes the first units purchased are the first units sold during an accounting......

Words: 1334 - Pages: 6

Premium Essay

Case Study 3, Acct 504

...| | | | Why is a cash budget so vital to a company? | A cash budget helps a company or an individual manage cash by planning reciepts and payments during a future period. | Harrison, Walter T., Charles T. Horngren, and William Thomas. Financial accounting. 9th ed. Upper Saddle River, NJ: Pearson Learning Solutions, 2013. | A company must forecast their expected costs by the flow of cash and to do this they need to make sure they can cover projected cash received | | "Acct 504 Case Study 3 Answers by Jenna54221." StudyMode. http://www.studymode.com/essays/Acct-504-Case-Study-3-Answers-1383822.html (accessed June 15, 2014). | | | What are the five basic principles of cash management that a company can follow in order to improve its chances of having adequate cash? | | Increase the speed of receivables collection, keep inventory levels low, delay payment of liabilities, plan timing of major expenditures, and invest idle cash | | Business. (n.d.). - Term Paper. Retrieved June 11, 2014, from http://latishvohra.com/essay-on/Business/49033 | | | | | | | | | | |...

Words: 555 - Pages: 3

Premium Essay

Acct 504 Course Project

...An Examination of LBJ Distribution Company Internal Controls Infrastructure Pre IPO ACCT 504: Financial Accounting Keller Graduate School of Management Professor Ganesh Pandit Date: February 9, 2014 Pre IPO Examination of LBJ Distribution Company Internal Controls Infrastructure Prepared for: President, LBJ Distribution Company Prepared By: Véron S.A. Lake Company: LLMCO Date: 9 February 2014 Table of Contents Introduction 3 Purpose 4 Legal Requirement of Internal Controls 5 IPO Readiness: Financial Internal Controls 5 IPO Readiness: Recommendations 6 Reliable Monthly Reports 6 Adequate Staffing of Financial Departments 6 Implementation of Audit Infrastructure 6 IPO Readiness: LBJ Internal Control Strengths 7 Pre-numbered Invoices 7 Recommendations: Indelible Ink Machine 7 IPO Readiness: LBJ Internal Control Weaknesses 7 Staffing: Accounting Department 7 Staffing: Human Resource Department 8 Recommendations: Handling Petty Cash 8 Recommendations: IT Department Physical Controls 9 Conclusion 9 Works Cited 10 Introduction A company going public today is different than what it was in the dot com era; this is because the IPO landscape has changed significantly in the last decade (KPMG, 2013). Recently experts has seen compression in the markets, decreasing or shifting mergers and acquisition activity, faltering businesses and more scrutiny on balance sheets and company cash as well as access to capital (KPMG, 2013;......

Words: 1816 - Pages: 8

Premium Essay

Acct 504

...William Schall Case Study 2 Accounting 504 The five internal controls are: Smart Hiring Practices and Separation of Duties. In a business with good internal controls, no important duty is overlooked. Each person in the information chain is important. The chain should start with hiring. Background checks should be conducted on job applicants. Proper training and supervision, as well as paying competitive salaries, helps ensure that all employees are sufficiently competent for their jobs. Employee responsibilities should be clearly laid out in position descriptions. Comparisons and Compliance Monitoring. No person or department should be able to completely process a transaction from beginning to end without being cross-checked by another person or department. Adequate Records. Accounting records provide the details of business transactions. The general rule is that all major groups of transactions should be supported by either hard copy documents or electronic records. Limited Access. To complement segregation of duties, company policy should limit access to assets only to those persons or departments that have custodial responsibilities. Proper Approvals. No transaction should be processed without management’s general or specific approval. The bigger the transaction, the more specific approval it should have. For individual small transactions, management might delegate approval to a specific department. Situation a. In evaluating the internal control over cash......

Words: 744 - Pages: 3

Premium Essay

Nos 230 Mid Term

...User | | Course | NOS 230 R01 - | Test | Mid-Term Exam (Take Home) | Status | Completed | Score | 98 out of 100 points   | * Question 1 2 out of 2 points | |   | The ____ provides interoperability between Windows Server 2008 and UNIX and Linux systems.Answer | | | | | Selected Answer: |    Subsystem for UNIX-based Applications | | | | | * Question 2 2 out of 2 points | |   | In the Initial Configuration Tasks window, you use the ____ section to set the time zone, configure networking, and provide computer name and domain or workgroup information.Answer | | | | | Selected Answer: |    Provide Computer Information | | | | | * Question 3 2 out of 2 points | |   | Disk quotas can be set on any local or shared volume.Answer | | | | | Selected Answer: |  True | | | | | * Question 4 2 out of 2 points | |   | A ____ is two or more disks that are combined like a volume set, but that are striped for RAID level 0 or RAID level 5.Answer | | | | | Selected Answer: |    stripe set | | | | | * Question 5 2 out of 2 points | |   | DNS forwarding can be set up so that if the DNS server that receives the forwarded request cannot resolve the name, then the server that originally forwarded the request attempts to resolve it, which is called ____.Answer | | | | | Selected Answer: |    nonexclusive forwarding | | | | | * Question 6 2 out of 2......

Words: 1894 - Pages: 8

Free Essay

Mid Term

...where located, efforts to find the aircraft and recover remains took a few days., tdue to its locationa dn confilt between mrebel forces and military. 2. Honeymoon Phase In the days that followed the sinking of the Lucitania the fishing vessels where offered a reward for any bodies that they collected. The Flight 93 recovery was conducted by Dutch aircraft. 3. Disillusionment Phase 4. Reconstruction Phase Culture as Casualty Summary ......

Words: 1099 - Pages: 5

Free Essay

American Literature Mid-Term

...Josh Shupert American Literature Mid-Term 1. The speaker in William Carlos Williams steals her plums. 2. In “The Egg” the father collects deformed chickens. 3. The procedure the two woman are talking about in “The Waste Land” as the pub is closing is getting the one woman new teeth before her husband comes home. 4. George’s mother is glad that George was killed before he could kill anyone else and have to have their blood on his hands. 5. Robert Frost compares his neighbor to a pine tree in “Mending Wall” 6. Mrs. Waythorn’s first husband is drawn back into her life because of their sick daughter. 7. In “The Gilded Six Bits” Slemmons owns an ice cream parlor. 8. The woman in “The Love Song of J. Alfred Prufrock” are talking about the speaker. 9. In “The River Merchants Wife” the paired butterflies are already yellow with august. 10. Because I could not stop for death--/He kindly stopped for me Short Answer 1. In the “Gilded Six Bits” it is significant that the shopkeeper wanted to be like Joe for many reasons. One being that Joe was a colored man. In the time period the story takes place it is often considered a bad thing to be colored. The shopkeeper desires to be like Joe because colored people are laughing all the time and nothing worries them as far as the shopkeeper can see. This is ironic because normally it is the colored man that wants to be white but this time it was the white man wanting to be colored. 2. J 3.......

Words: 789 - Pages: 4

Premium Essay

Study Guide for Mid-Term

...regardless of cost. 25. What is Ryanair’s business model? (Quiz) * Tricks for Ryanair to reduce costs and generate revenues. * What is ancillary revenue? VI. Week 7 26. Fragmented markets and their consolidation (slides sept 29) 27. Consumer characteristics over different stages of an industry life cycle (slides) * Competitive chasm Fails to supply the mass market 28. What are the major characteristics of a mature market? (slides oct 6) 29. What is price signaling? (slides oct 6) * Tit-for-tat strategy 30. What is price leadership? (slides oct 6) Disclaimer: This study guide may not include all the items to be tested in the mid-term exam. Please review your lecture notes and slides discussed in the class carefully....

Words: 536 - Pages: 3

Premium Essay

Acct 504

...Week-2 Case Study ACCT504 Acct Fin: Managerial Use Analysis Callistus Wong Professor Saad November 27, 2015 Situation A. In evaluating the internal control over inventory for the Williams Oil Services Company, an auditor learns that the warehouse receiving clerk is responsible for ordering parts for supply inventory use in drilling services, counts the inventory when received at the dock, records the receipts into the inventory ledger, and takes the annual inventory, No supervisor reviews the receiving clerk’s work. Missing Internal Control Characteristic: The important missing factor is that same person is responsible for conducting all the activities of inventory. He is responsible for ordering parts, counting the inventory, recording inventory ledger and taking up of annual stock. Problem of the Firm: The firm is not having any internal control mechanism to check the authenticity of documents and physical inventory of stores. Same person who might encourage any person to commit a willful fraud is performing all the duties. Proposed Solution: Segregation of duties is one of the methods of internal which helps in preventing and reducing the occurrence of frauds and errors. It is done by segregating the duties in a department and by ensuring that no single person is having control on all the transactions. Duties are divided into four general categories: Authorization Record keeping Custody Reconciliation. Different employees should perform all these major...

Words: 815 - Pages: 4

Premium Essay

Mid Terms

...something. In order for a contract to be valid, there must exist four basic elements: 1) an agreement must exist between the parties involved; 2) each party to the contract must receive something of value or consideration; 3) both parties must have the capacity to enter into a contract (able to understand the nature and effect of their promises); and 4) the contract must be for a legal purpose. . For an agreement to exist there must be an offer and an acceptance. An offer is “an expression of willingness to contract on a specific set of terms, made by the offeror (the person making the offer) with the intention that, if the offer is accepted, he or she will be bound by a contract.”[3] It is only effective if there is intention to be bound, it is reasonably definite and it is communicated to the offeree (the intended recipient). The agreement is only complete when there is acceptance - an expression of absolute and unconditional agreement to all the terms set out in the offer. It can be oral or in writing, must be in a timely manner with the intent to be bound and must exactly mirror the original offer made. Let’s now consider the specific situations of our case: Peter’s claim against Glenn: Peter’s claim is that Glenn breached the contract they made by failing to supply the cotton. Peter first has to establish that there was a legally enforceable contract with Glenn for the supply of the cotton. He could argue that his response to Glenn’s email regrading the purchase......

Words: 1637 - Pages: 7

Premium Essay

Mid Term

...assist. 10. Individuals who reflect a group of people responsible for establishing the organizations overall objectives and developing the policies to achieve these objectives are called: D: top-level managers 11. The management function which involves monitoring activities to ensure that targets are being met is called _______ A: controlling 12. Another way to think of supervisors are: E: first-level managers 13. Even though supervisors may perform operative tasks, they are still part of management. This was made clear by the passing of the: E: 1947 Taft-Harley Act 14. The process of getting things done, effectively and efficiently, through and with other people is called: B: management 15. In management the term representing the primary activities supervisors perform is called: D: processing 16. When supervisors are performing tasks right, and they are concerned with the relationship between inputs and outputs, this relation is called: B: efficiency 17. When a supervisor is concerned with completing activities and achieving goals, this is called: B: effectiveness 18. Being a good supervisor means being concerned with both attaining goals and: E: doing so as efficiently as possible 19. The management process consists of the following functions EXCEPT FOR: A: coordinating 20. The planning function performed by managers includes the following EXCEPT FOR: C: influencing and motivating behavior 21. The organizing......

Words: 10145 - Pages: 41

Premium Essay

Mm207 Mid Term Project

...The Mid-Term Project is worth 100 points. Please download this document to your computer and save it using the naming convention specified in the course syllabus. For the Mid-Term Project you will be using the MM207 Student Data Set, the survey codebook, and StatCrunch as necessary. You should enter your answers/responses directly after the question. There is no need to retype the project. After completing and saving the project, submit your project in the Mid-Term Drop Box. In the course, go to Unit 4 -> Instructor Graded Project -> StatCrunch to access the MM207 Student Data Set. When the page loads you will need to click on Data Set on the left side of the page. You do not need a StatCrunch ID or a password to access the data set; simply click the on Data Set to load the data file. Name: 1. In the following situation identify the implied population. A recent report on the weekly news presented the findings of a study on the effectiveness of Onglyza, along with diet and exercise, for treating diabetes. Based on chapter one reading the population is the population in a statistical study is the complete set of people or things being studied (Bennett, Briggs, Triola, 2009). Therefore the population consists of all diabetic patients. 2. In the following scenario identify the type of statistical study that was conducted. A Gallop poll surveyed 1,018 adults by telephone, and 22% of them reported that they smoked cigarettes within the past week. Based......

Words: 1601 - Pages: 7